Quote of the day: Wide diversification is only required when investors do not understand what they are doing. — Warren Buffett
EURUSD
Trading strategy: short at 1.4965, initial stop at 1.5025 (risk 1%), objective at 1.4865. Adjust stop to breakeven on +30 pips (at 1.4935) if reached.
The euro pulled back on yesterday but remains supported by 1.4850. Since it failed to bounce off the said support, returning into the higher half of the 1.49 territory, fears of more downside action are increasing and sentiment remains bearish – a break above 1.4930/50 being required to regain upside momentum. In case of a break below 1.4850, next downside objective is formed around 1.4700/15 by the rising trend line coming from 1.4040 as seen in the chart below. Short-term sentiment is slightly positive but watch the resistance region of 1.4930/50 as strong selling may emerge into that former support zone. Current exchange rate is 1.4877 @07:13 GMT
Support: 1.4820/50, 1.4800, 1.4750 and 1.4700/15
Resistance: 1.4930/50, 1.4985/00 and 1.5030/60
- EURUSD short-term chart 11-13-2009
I’ll probably be back later today – writing an update on EURUSD and some other pair(s).
Have a great day!
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